DTN Midday Grain Comments 07/30 11:00

DTN Midday Grain Comments 07/30 11:00 Beans, Wheat Lower at Midday Corn is flat to 1 cents higher, soybeans are 1 to 5 cents lower, and wheat is flat to 4 cents lower. David Fiala,DTN Contributing Analyst The U.S. stock market is weaker with the Dow down 315 points. The dollar index is 5 points lower. Interest rate products are firmer. Energies are weaker with crude down $1.40. Livestock trade is mixed. Precious metals are weaker with gold down $19. CORN Corn trade is flat to a penny higher at midday with trade remaining on the summer lows with light buying after China bought 1.937 million metric tons on the daily wire, along with 130,000 metric ton to unknown. The weather is expected to remain a short-term non-issue. Ethanol margins are a little narrower with the weakness in energies. Basis has remained fairly flat in recent days, with isolated pockets of pre-harvest strength. Weekly export sales were softer 29,300 metric tons old crop, and 683,700 metric tons of new crop. On the September contract, trade continues to have resistance at the gap level from earlier in the month at $3.36, with chart support at the lower Bollinger Band at $3.13. SOYBEANS Soybean trade is 1 to 5 cents lower with light selling pressure again on weakness with export demand rumored to be good at these levels as the August contract fades into delivery. Meal is narrowly mixed and oil is 15 to 25 points higher. Demand will need to be the driver of rallies with weather threats limited. The ral remains at the upper point of the recent range vs. the dollar with the new dollar lows likely to boost new crop sales moving forward. Weekly export sales had 257,800 metric tons of old crop, and 3.34 million metric tons of new crop, meal had 260,900 metric tons of new crop meal, and 32,900 of new, oil was 800 of old, and 10,000 of new. The August chart now has resistance at the 20-day at 8.94, and support the lower Bollinger band at 8.78. WHEAT Wheat trade is flat to 4 cents lower at midday with trade finding light selling as the back and forth pattern continues with primary support from the weaker dollar and the end of harvest pressure. The ruble is losing ground, but harvest will keep bushels moving out of the Black Sea area short term with added acres offsetting yield trends in spots. Kansas City is at an 90-cent discount to Chicago with spreads back to the top end of the range, while Minneapolis is back to a 22 cent discount. Weekly export sales remain solid at 676,600 metric tons. Kansas City September chart support is the recent low at $4.23 3/4, with the 20-day back above the market as nearby resistance at $4.45, which is we have pulled back this a.m. David Fiala is a DTN contributing analyst and the President of FuturesOne and a registered adviser. He can be reached at dfiala@futuresone.com Follow him on Twitter @davidfiala (c) Copyright 2020 DTN, LLC. All rights reserved.